Amazon’s move to 1 day delivery for Prime customers comes with a significant investment in their transportation and logistics assets.
Last month Amazon announced an order to add 15 Boeing 737-800BCF aircraft from GE Capital Aviation Services, a strategic investment in growing one of their best logistics assets.
Amazon’s current fleet and future orders consist exclusively of Boeing aircraft; by 2021 they will operate a fleet of almost 70 aircraft.
Aircraft | In Fleet | Ordered |
737-800BCF | 5 | 15 |
767-200BDSF | 12 | 0 |
767-300BDSF | 27 | 10 |
Total | 44 | 25 |
Amazon Air as it is formally called flies to various major and regional destinations in order to provide consistent 1 day delivery for Prime customers in major markets. Amazon Air’s routes have grown to roughly 24 cities since 2016 and this no doubt will increase as more aircraft are added to the fleet.
In spring 2019 Amazon began construction of a $1.5 Billion air hub at the Cincinnati/Northern Kentucky International Airport which is scheduled to open sometime in 2021. This new and crucial facility will house typically 50 of their planes and will create over 2,000 jobs.
In Q3 2019 Amazon’s total investment to improve their asset based logistics and move to 1 day delivery is over $800 Million; this significant investment propels Amazon to rely less on parcel giants like UPS and FedEx.
Click here to see a video of what the Amazon Air Hub will look like when it opens.